With the effects of the strike having been felt throughout March, Fiat will most likely produce around 20,000 less cars during the monthly period, although with its domestic plants mostly operating well under capacity, the knock-on is smaller.

Smaller-size transporter operators are striking as they continue to suffer the effects of new tariffs and higher oil prices. There was a glimmer of hope though last night as an emergency meeting was called in Milan between the representatives of both the larger and smaller operators.

"The vehicle transporter strike involving only a minority of drivers' associations, which has now been in effect for more than a month, is causing major disruption for the automotive sector in Italy," said Fiat in a statement yesterday. "Substantial delays in deliveries to dealers and customers are having a major impact on shipments and sales in both Italy and abroad. The impact is particularly severe for Fiat Group Automobiles which has been forced to stop production on several occasions at plants in Italy resulting in major financial losses for both the company and its workers. Inevitably, this will also have a significant negative impact on market share.

"Further production stoppages are planned next week at the Cassino plant (March 27-29) and the Giambattista Vico plant in Pomigliano d'Arco (March 26-27), where the new Panda currently being launched across Europe is produced," continued the statement issued in Turin, adding: "There are no signs of an end to this situation. Rather, it appears to be worsening with numerous incidents of violence including setting fire to vehicles, as well as threats and aggression toward drivers not participating in the strike. As a result of the economic damage caused by this industrial action, the automotive sector in Italy, which has already suffered significantly from market conditions, is being pushed to breaking point."